re: What would you do (Ivy League vs Smaller D-1 or FCS school)

That really doesn't matter. The worst-case scenario (which I still think is unlikely) is the scenario proposed by MannyG, where he would get only 80% of his costs covered.

However, if his parents make less than $80K, he would automatically get a full ride based on the need-based policies of every Ivy league school. At some of the higher ranked Ivies, that number goes even higher (100K, I believe).